It’s that time of year again! We are often so busy in the last quarter of the year that many important items can get overlooked or pushed until another time. Here are 10 items you may want to give some of your attention to before end of year so you are ready to kick off 2024.
- Year-End Financial Planning: Review and analyze the firm’s financial performance for the year and develop strategies to meet year-end revenue and profitability goals. This may include budget adjustments, expense management, and client billing. The push to collect dollars is on. (Don’t step over dollars to pick up pennies – it may be OK to give a client a discount if they can pay your invoice by the end of year.)
2. Client Retention and Expansion: Identify opportunities to strengthen relationships with existing clients, offer additional services, and secure client commitments for the upcoming year. Communication is always the key with your existing clients. Even a simple email or telephone call to ask them how you can help with their hectic year-end may go a long way!
3. Business Development: Create a plan for acquiring new clients and expanding the firm’s client base. Consider targeted marketing efforts, networking, and industry-specific outreach. This should be part of your strategic plan (see #4) and should be continuously updated. Should you expand by acquiring another firm? Hire lateral partners? Add a new practice area? Add a branch office?
4. Strategic Planning: Reflect on the firm’s long-term goals and develop or update the strategic plan. This may involve evaluating practice areas, geographic expansion, or technology investments. All firms should have a 3-, 5- and 10-year plan that is visited annually. It can be part of your partner’s retreat or can be handled by your leadership team.
5. Technology and Cybersecurity: Assess the firm’s technology infrastructure and cybersecurity measures. Ensure that systems are up to date and secure to protect sensitive client information. Hiring a technology partner that understands law firms is critical. From the document management system to the workflow processes it is important they know how lawyers work.
6. Talent Management: Review staffing needs for the upcoming year, including hiring, training, and professional development. Evaluate performance and consider promotions or adjustments in compensation. Do you have the right people in the right seats? If you need to hire, confirm your salary and benefit structure is competitive.
7. Compliance and Regulatory Updates: Stay updated on changes in laws, regulations, and compliance requirements relevant to the firm’s practice areas and jurisdiction. State and local bar associations will have any critical information that you will need to know. Have any IOLTA rules changed? Does your state require a formal succession plan? Does your state allow non-lawyers to assist clients without attorney supervision?
8. Marketing and Branding: Enhance the firm’s online presence, update the website, and develop a content marketing strategy to showcase expertise and attract potential clients. SEO content marketing is critical for most small to medium size firms. The firm’s annual budget spend on marketing should be significant, especially if you are a personal injury, family lawyer, or contingency firm.
9. Diversity, Equity, and Inclusion (DEI) Initiatives: Continue or expand efforts to promote diversity and inclusion within the firm. This can include training programs, mentorship, and recruiting practices. There are many processes that you can implement in your firm to disrupt bias. If you already have an initiative in place, how did you do? If you do not, this should be on your key issue list to address in 2024.
10. Client Feedback and Satisfaction: Solicit feedback from clients to gauge satisfaction and identify areas for improvement. Use this information to make necessary adjustments and strengthen client relationships. A call from the law firm owner, managing partner or practice section head can go a really long way on enhancing the relationship between the firm and the client. Always keep succession planning in mind. A great relationship with the client may give them reason to stay when “their” attorney retires.
I love end of year! It’s a great time to reflect on what went well and what didn’t. It’s also the time of year you can hit the refresh button and start planning for a prosperous and exciting new year. Wishing you the best during this busy time.